Eight years in the cryptocurrency world, starting with tens of thousands, now over ten million. I rely on a 50% position to steadily build my investments, with monthly returns reaching 60%.
1. Divide the capital into 5 parts, entering only one-fifth each time! Control a 10% stop loss; if I make a mistake once, I only lose 2% of the total capital, and it takes 5 mistakes to lose 10% of the total capital. If I am correct, I set a take profit of more than 10%. The first step is to open the daily chart, only looking at daily-level cryptocurrencies with MACD golden crosses, preferably choosing those that are above the zero line, as this has the best effect!
The second step is to switch to the daily level, where only one moving average is needed, called the daily moving average. Hold above the line and sell below the line.
2. Do not touch cryptocurrencies that have rapidly surged in the short term, whether mainstream or altcoins. There are very few coins that can produce several waves of primary upward trends. The logic is that it's difficult to continue rising after a short-term surge. When the price stagnates at a high level, it will naturally decline later on; it's a simple principle.
3. Volume-price indicators are crucial, as trading volume is the lifeblood of the cryptocurrency world. Pay attention to volume breakouts at low consolidation levels, and decisively exit on volume stagnation at high levels.
4. Only trade in cryptocurrencies with an upward trend, as this maximizes the odds and does not waste time. When the 3-day line turns upward, it indicates short-term rising; when the 30-day line turns upward, it indicates medium-term rising; when the 84-day line turns upward, it indicates a primary upward trend; when the 120-day moving average turns upward, it indicates long-term rising!
